The balances in the perpetual inventory accounts of Anditon Manufacturing Corporation at the beginning and end of the current year are as follows:
End of Year Beginning of Year
Inventory accounts:
Materials $ 126,000 $ 222,000
Work in Process 109,000 75,000
Finished Goods Inventory 325,000 238,000
The total dollar amounts debited and credited during the year to the accounts used in recording manufacturing activities are as follows:
Debit Entries Credit Entries
Account:
Materials Inventory $ 2,410,000 $ ?
Direct Labor Payable 1,189,000 992,000
Manufacturing Overhead 893,600 893,600
Work in Process Inventory ? ?
Finished Goods Inventory ? ?
a. Using these data, state or compute for the year the following amounts:
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1
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Direct Materials Purchased
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2
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Direct Materials Used
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3
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Payments of direct labor payroll
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4
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Direct labor costs assigned to production
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5
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Total Manufacturing costs charged to the Work in Process Inventory account during the year
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6
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The cost of finished goods manufactured
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7
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Costs of goods sold
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8
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The total amount to be classified as inventory in the year-end balance sheet
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b. Prepare a schedule of the cost of finished goods manufactured.
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Andiron Manufacturing Corp.
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Schedule of the cost of finished goods manufactured
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For the year ended December 31 20
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Work in process inventory, beginning of the year:
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Manufacturing costs assigned to production:
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Direct materials used:
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Direct labor:
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Manufacturing Overhead:
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Total manufacturing costs:
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$
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Total cost of all work in process during the year:
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$
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Less: work in process inventory, end of year:
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Cost of finished goods manufactured:
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$
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